Codelco’s new boss is restructuring management at the Chilean state copper behemoth as he looks to turn around under-performing mines and projects that have crimped both production and profit.
(Bloomberg) — Codelco’s new boss is restructuring management at the Chilean state copper behemoth as he looks to turn around under-performing mines and projects that have crimped both production and profit.
After a month as chief executive officer, Ruben Alvarado is bringing Codelco’s three operational divisions under one roof to be led by Mauricio Barraza, the current central-south head, according to a regulatory filing on Friday. Effective Nov. 1, he’ll also mesh mining resources and development with innovation and technology in a team run by northern operations VP Nicolas Rivera.
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Alvarado — the former head of Santiago’s subway, who last month became Codelco’s third CEO in just over a year — is looking to streamline structures and prioritize productive areas at a time when copper output is at the lowest level in a quarter of a century.
In a turbulent week for the world’s biggest copper producer, Alejandro Rivera is stepping down as chief financial officer and Nicole Porcile resigned as head of sustainability, while the firm’s investment-grade credit rating was cut one notch by Moody’s Investors Services, pushing down bond prices.
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Alvarado and Chairman Maximo Pacheco are working to steady the company as mine mishaps and project delays exacerbate the impact of deteriorating ore grades. Codelco has embarked on a $40 billion spending program after decades of underinvestment at its aging deposits.
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